Toledo Edison – Finding the Cheapest Electricity in Ohio
Finding the cheapest electricity rates in Toledo and its surrounding communities requires a little understanding of how Ohio’s deregulated electricity system works. To do that, you’ll need to use the right resources to help find the plan that fits you.
There are 6 main electricity distribution utilities (EDUs) in Oho. These local utilities maintain the lines, handle outages, and read your meter. They charge all customers the same rate for distributing and delivering no matter who the electric supplier is.
The Public Utility Commission of Ohio (PUCO) also requires EDUs to provide electricity to customers who do not choose an electric supplier or if a supplier leaves the Ohio market. EDUs offer what is called the “Standard Service Offer” (SSO). Electricity prices are passed straight through to the customer without mark up from the EDUs. The SSO rates must be approved by the PUCO. Since SSO rates are set at auction every six months, they change regularly.
Ohio’s certified retail electric suppliers sell electricity supply directly to their customers. Because electricity supplier buy their electricity from the wholesale market, their rates are not controlled by the PUCO. That means suppliers can take advantage of ongoing changes in the price of electricity as well as using hedging strategies to buy electricity at far lower rates for longer periods of time than what you might see on the SSO. And because electricity suppliers compete with each other, they must work harder to offer better rates and incentives to attract and keep customers.
Finding the Right Electricity Supplier in Toledo
The Toledo Edison EDU service area spans the lakeshore from Oak Harbor west to Bryan and on to the Indiana border. Several electricity suppliers offer a variety of plans, rates, and incentives to customers. Choosing the right supplier for you starts with considering some specific factors:
- What length of contract do you want? Contracts for your residential electricity range from 6 months to 36 months.
- What kind of rate? Variable month-to-month rates make great sense for customers who want more time to shop around or aren’t ready to commit. Rates can fall, rise slowly, or spike. Fixed rates lock-in a set, predicitable rate making budgeting easier.
- Green/renewable electricity? Some companies have 100% renewable energy plans featuring electricity from wind or solar. Every time you turn the lights on, you’re reducing your carbon footprint.
- What kind of incentives or rewards are suppliers offering? Some companies offer free movie tickets, airfare discounts, rewards, and gift cards. Keep an eye for these to see which company really wants your business and values its customers.
The Best Electricity Plans in Toledo
- 12-month electricity plan – The best rate for a 12-month plan in the Toledo, Ohio, area is from Constellation Energy at 6.6¢ per kWh. The 12-Month Green Default plan has only a $25 cancellation fee, so if you want to change your mind, this can be an excellent deal.
- 24-month electricity plan – XOOM Energy offer a rate of 6.9¢ per kWh for two years. Called the SureLock 24 has a very reasonable $50 cancellation fee in case you need to cancel your plan early. The nice part about this plan is that it guarrantees the rate for 2 years so if electricity rates rise you won’t need to worry.
- 36-month electricity plan – With a rate of 6.0¢ per kWh, Constellation Energy has an excellent rate that you can lock in for 3 full years. Since that three year term is a bit long for renters and the cancellation fee is a hefty $150, this plan seems best suited for Toledo homeowners.
To find the lowest electricity rates in the Toledo, Ohio, area, it’s important to do apples-to-apples comparisons. Using the OH Energy Ratings site, it’s easy to find a plan that will fit your needs.